Continued efforts to improve its R&D stature has been a key catalyst for Surmodics. The company’s whole product solutions pipeline and sirolimus-based below-the-knee DCB program deserve a mention here. Earlier, this year, the company launched MatrixGuard Diluent, which helps it achieve the goal of maximum blockade of matrix interferences. This is likely to augment Surmodics' IVD (In Vitro Diagnostics) unit.

Furthermore, Surmodics reached an agreement with Embolitech to acquire an innovative thrombectomy platform technology. This will further boost its R&D portfolio.

In fact, in the last-reported quarter, the company’s R&D expenses were $9.8 million, up 23.4% year over year. Considering its strength in the R&D prospects, Surmodics has long-term goals of achieving double-digit top-line growth by the end of calendar 2019 and generating EBITDA margins at or above 30% by fiscal 2021.

Management has further confirmed that Surmodics aims to advance its R&D whole product solutions pipeline by securing regulatory clearances for at least four new products in fiscal 2018. For the fourth quarter of fiscal 2018, management expects R&D expenses to accelerate.

Guidance Raised

Surmodics has raised the guidance for fiscal 2018.

The company expects revenues of $79-$81 million, up from the previous anticipation of $75-$79 million.